statistics for business and economics 11th edition chapter 1 exercise solution

Chapter Data and Statistics Solutions: a b Price, CD capacity, and the number of tape decks are quantitative Sound quality and FM tuning sensitivity and selectivity are qualitative c Average CD capacity = 30/10 = d (100) = 70% 10 e (100) = 40% 10 a 1005 b c Qualitative Percentages d .29(1005) = 291.45 or approximately 291 10 a Quantitative; ratio scale of measurement b Qualitative; nominal scale of measurement c Qualitative; ordinal scale of measurement since the responses can be ordered from earliest (high school) to latest (retirement) d Quantitative; ratio scale of measurement e Qualitative; nominal scale of measurement 11 a Quantitative; ratio b Qualitative; ordinal c Qualitative; ordinal (assuming employees can be ranked by classification) d Quantitative; ratio e Qualitative; nominal 13 a Earning in $ billions are quantitative data b Time series for the years 1997 to 2005 c Earnings for Volkswagen 1-1 Chapter d Earnings were relatively low from 1997 to 1999, but showed excellent growth in 2000 and 2001 2002 was a relatively strong year, but declines in 2003 to 2005 brought earnings back in line with the 1997 to 1999 levels The decline in earnings trend from 2002 to 2005 suggests the $600 million projected earnings for 2006 is reasonable e In July 2001, the earnings tread was positive Assuming the trend in earnings would continue, Volkswagen would have been a promising investment in 2001 f Be careful when projecting time series data into the future Trends in past data may or may not continue into the future Assuming that past trends will continue can end up fooling an investor 14 a 12 Vehicles (millions) 10 Toyota GM Ford DC 2003 2004 2005 2006 2007 2008 Year b According to the CSM data, Toyota surpasses General Motors as the biggest auto manufacturer in the world in 2006 In 2006, Toyota manufactured approximately (9.1 – 8.9) = million or 200,000 more vehicles than General Motors The gap is expected to widen to 800,000 vehicles in 2007 General Motors is the only manufacturer showing a decline in vehicle production over the four year period c The following is a bar graph of cross-sectional data as it shows the number of vehicles manufactured in 2007 1-2 Data and Statistics 12 Vehicles (millions) 10 GM Ford DC Toyota Manufacturer 19 a All subscribers of Business Week in North America at the time the survey was conducted b Quantitative c Qualitative (yes or no) d Crossectional - all the data relate to the same time e Using the sample results, we could infer or estimate 59% of the population of subscribers have an annual income of $75,000 or more and 50% of the population of subscribers have an American Express credit card 22 a All registered voters in the state of California b Registered voters contacted during the Policy Institute of California survey c A sample was used both to save time and money The Policy Institute wanted to publish a current estimate of voter support Contacting all registered voters, even if possible, would have taken so long it is doubtful that the Institute could have obtained the results prior to the election Also the sample saved money compared to the cost of contacting the entire population of voters 24 a This is a statistically correct descriptive statistic for the sample b An incorrect generalization since the data was not collected for the entire population c An acceptable statistical inference based on the use of the word “estimate.” d While this statement is true for the sample, it is not a justifiable conclusion for the entire population e This statement is not statistically supportable While it is true for the particular sample observed, it is entirely possible and even very likely that at least some students will be outside the 65 to 90 range of grades 1-3 ... of cross-sectional data as it shows the number of vehicles manufactured in 2007 1- 2 Data and Statistics 12 Vehicles (millions) 10 GM Ford DC Toyota Manufacturer 19 a All subscribers of Business. . .Chapter d Earnings were relatively low from 19 97 to 19 99, but showed excellent growth in 2000 and 20 01 2002 was a relatively strong year, but declines... future Assuming that past trends will continue can end up fooling an investor 14 a 12 Vehicles (millions) 10 Toyota GM Ford DC 2003 2004 2005 2006 2007 2008 Year b According to the CSM data, Toyota